MIDDAY TAKE

Markets are still lower at mid day but off their lows and "feeling" like they want to go higher. The RUT/MID group still the worst performers while the DJIA is the best major index.

Strongest sectors - retail, biotech, drugs, defense and tech while utils, homies, oil service, semis and metals lag.

Probably gonna be tough to rally with the financials lagging again as all on my screen are red.

Market internals still crummy with 1300 net losers on the NYSE and 800 net red on the NAZ.

IBD/OEX/NDX internals all about the same with less than 30 winners on each.

WINNERS- ACH SNDA CMED FTK DRYS BIDU HON HD MO CMCSA BAX IP DISCA WFMI JAVA NVDA PDCO JOYG;

LOSERS- AKAM TLAB SNDK DISH UAUA LRCX RYAAY EXC AEP LEH ETR AES SO NSM CRNT BTJ GPOR SNHY AFSI TTEC FLIR;

VIX still up about 8% and 14% below the 10 day SMA.

The NDX, the best performing major index for 2007 seems to have hit resistance at the 50 day SMA near the 1958 level. Also, keep in mind that support exists at the 50% retracement on the SPX at 1464, so lots of cross currents.

Also a week which should be fairly slow so the technicals will probably be good numbers to follow.